1. Modernised
Social Security Coordination
Regulations
883/2004 & 987/2009
trESS Seminar
Poitiers, 22 June 2010
DG Employment,
Social Affairs and
Equal Opportunities

2. Key figures - Mobility
2.3% of European living and working in an other 11.5 million
Member State
10% have lived and worked in another country 65 million
3% lived in another country, but did not work there
17% envisages working abroad in the future 85 million
Learning mobility: 8% went to school in another country, 3% to
university and 4%participated in training abroad
About 675 000 persons benefited from ESF supported activities with an
explicit link to labour mobility
Increase intra EU mobility by 40% between 2001 and 2008
More than 50% of SE, NO, LU, AT, DE have friends from another country
Around 30% for BE, UK, PT, FR, IT, GR, NL
DG Employment, Social Affairs and Equal Opportunities 2

3. Key figures on coordination
1.6 millions over 65 years residing in an other MS
40 000 unemployed looking for a job in an other MS
780 000 cross-border commuters in the EU (year 2006/2007)
Condensed in the area of Central-Western Europe
Significant increases of in-commuting streams have been observed
between 2000 and 2007 in Switzerland (+59 000),
Luxembourg (+40 000), Austria (+34 000), Netherlands (+25 000)
187 million EHIC distributed in 2009
DG Employment, Social Affairs and Equal Opportunities 3

4. DG Employment, Social Affairs and Equal Opportunities 4

5. DG Employment, Social Affairs and Equal Opportunities 5

6. The coordination :
bridging the diversity
Coordination
European level National level
DG Employment, Social Affairs and Equal Opportunities 6

7. Over 50 years
of Social Security Coordination
_______________________________
____________________________
_______________________
____________________
Implementing Reg
Reg 883/04
Consolid Reg
EC Reg 1408/71
Implementing Reg 574/72
Regulations 3 & 4
1959 1972 1997 2010
DG Employment, Social Affairs and Equal Opportunities 7

8. Two New Regulations
• Regulation 883/2004 (the Basic Regulation) ('BR')
• The 987/2009 New Implementing Regulation ('IR')
• Both Regulations of equal value
• Cannot apply one without the other
DG Employment, Social Affairs and Equal Opportunities 8

9. Time Planning for implementing Regulations
2009 2010 2011 2012
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Preparatory
period New legal environment
Transition rule on applicable legislation – Art 87(8) of BR
EESSI Transitional Period New technical environment
Publication OJ
EESSI fully
Entry into in place
application of the
new Regulations
DG Employment, Social Affairs and Equal Opportunities 9

10. Key Themes of the Modernised
Regulations
• Updating
• Simplification
• Improved protection of rights
• Clarification
• Strengthened and Streamlined institutional
procedures

11. Mobility implications for
citizens - principles
Protected mobility
Aggregation of facts
Better information
EUROPEAN
DG Employment, Social Affairs and Equal Opportunities 11
COMMISSION

12. Implications for
institutions
Insurance
Institution
Cooperation
Insurance
Institution
Active assistance
Electronic exchange
Better service
EUROPEAN
DG Employment, Social Affairs and Equal Opportunities 12
COMMISSION

13. Personal scope – Extension to non active
Moving within No transnational mobility
the EU
E
U
Reg 883/2004
c All EU national
Reg 987/2009 it who are covered
i under national
z Law
e
n
s
Reg 859/2003 Non 1/3 country nationals
Reg …/2010 EU

14. Which matters are covered by the EU
provisions on social security coordination?
Statutory schemes – opt-in possibility for certain
contractual provisions (Agirc/Arco)
• Sickness benefits • Survivors’ benefits
• Maternity and equivalent • Death grants
paternity benefits • Unemployment benefits
• Accident at work • Family benefits
• Occupational diseases • Pre-retirement benefits
• Invalidity benefits
• Old age pensions

15. Enhanced Administrative
Cooperation
Overall aim: to make citizens' rights more effective whilst at
the same time facilitating institutional processes
• Art. 3(1) IR: mutual requirement on citizens and institutions
to provide each other with information
• Art. 76 BR invigorated through new specific provisions
• Art. 2(3) IR: requirement for institutions to re-route
information
• Art. 76 BR given practical effect through structured provisions
for compulsory dialogue (see Articles 5, 6, 16 and 60 IR)
DG Employment, Social Affairs and Equal Opportunities 15

16. Dialogue and conciliation
procedures
6(3) IR: Dialogue and conciliation procedure
in the event of:
• Doubts about the validity of a document or
the accuracy of the facts
• Difference of views concerning the determination
of the applicable legislation
• Difference of views about which institution should
provide the benefits in cash or in kind
DG Employment, Social Affairs and Equal Opportunities 16

17. Dialogue and conciliation mechanisms
Decision N° A1 (12 June 2009)
DG Employment, Social Affairs and Equal Opportunities 17

18. Applicable legislation under Regulation 883/2004
General principle Lex loci laboris for active persons
Article 11 of BR Residence for non active persons
Derogations Posting
Articles 12 and 16 of BR Article 16 agreements
In case of activities in 2 or more MS:
Conflicting rules MS of residence or
Article 13 of BR
MS of registered office/business place
Special categories Seafarers
Article 11(4) and 15 of BR Contract staff of the EC

19. Activities in 2 or more MS as an employed
Person is subject to legislation of MS of:
• Residence if working for various employers
• Residence if working for 1 employer and pursues
“Substantial activities” there (new rule)
• Establishment of employer if working for 1
employer and not pursuing substantial activities in
MS of residence. If employer is established outside
EU : MS of residence (new rule)

20. Activities in 2 or more MS as self-employed
Person is subject to legislation of MS of:
• Residence if pursuing “substantial part” there
• Centre of interest if he doesn’t pursue there
“substantial part”
For determining ‘Centre of interest’, all aspects
must be taken into account : place of business,
habitual nature or duration of activities, number of
services rendered

21. Chap 6: Unemployment – facilitate mobility
DG Employment, Social Affairs and Equal Opportunities 21

22. Chap 1 : Sickness – key innovations
• Clarification of who is responsible
for providing EHIC to persons
not residing in competent State
(Article 27 BR)
• Rights improved (members of
family of frontier workers,
retired frontier workers,
rights of pensioners residing
in another MS to get medical
care in MS paying the pension)
DG Employment, Social Affairs and Equal Opportunities 22

23. % of EHIC holder on 31/12/2009 over resident population on
1.1.2009
Liech.
Italy
Austria
Luxembourg
Czech Rep
Switzerland
UK
Germany
ALL
Sweden
Ireland
Malta
Slovakia
Norway
Slovenia
Belgium
Netherlands
Denmark
Iceland
Portugal
Finland
Estonia
France
Lithuania
Hungary
Cyprus
Spain
Latvia
Poland
Bulgaria
Greece
Romania
0% 20% 40% 60% 80% 100%
DG Employment, Social Affairs and Equal Opportunities 23

24. Chap 4 & 5 : Pensions – key innovations
• Importance of summary pension
note: new basis for a possible
review request from the claimant P1
in relation to interaction between
decisions notified therein (Article 48 IR)
• 'Investigating Institution' renamed '
Contact Institution' and given
more proactive role (Article 47 IR)
DG Employment, Social Affairs and Equal Opportunities 24

25. Chap 8 : Family benefits – key innovations
• Clearer process for establishing order of priority for
paying family benefits (Article 68 BR)
(1) rights available on basis of work, (2) on basis of
pensions and (3) on basis of residence
• Distinction between 'family benefits' and 'family
allowances' removed
• Same rules for pensioners and employed persons
• If amounts in other MS are higher than MS designated by
priority: differential supplement
DG Employment, Social Affairs and Equal Opportunities 25

26. Ongoing work
DG Employment, Social Affairs and Equal Opportunities 26

27. The Administrative Commission
Interpretation and guidance
Decisions – Recommendations – guiding tools
Exchange of best practices
Facilitate the uniform application of Community law
Foster and develop cooperation between MS
Increase efficiency
Encourage the use of new technologies. Adopt common structural rules
for data processing services ... and on the use of standards ...
Conciliation
DG Employment, Social Affairs and Equal Opportunities 27

28. Work organisation
Decision
Making Administrative Commission
body Advisory
Committee
Approve average
costs and
accounts
Audit Board
Prepare and
Task Force coordinate work
Support CASSTM
on technical
Technical
aspects Commission
Prepare
Ad Hoc groups documents and
reports
DG Employment, Social Affairs and Equal Opportunities 28

29. Recent Developments in the
Administrative Commission
• AC Decisions and Recommendations
• Portable Documents
• Structured Electronic Documents (SEDs)
• Miscellaneous Amendments 2010
29

30. Decisions and Recommendations of
the Administrative Commission
A + Number Applicable Legislation
H + Number Horizontal, concerning general issues and rules of
procedure, and also Financial provisions
E + Number Electronic Data Exchange
F + Number Family Benefits
S + Number Sickness Benefits
U + Number Unemployment Benefit
P + Number Pensions

31. EESSI (Electronic Exchange of
Social Security Information)
EESSI is a core element in the new Regulations on social security
coordination (Reg. 883/2004 and 987/2009)
– Enables institutions to exchange information electronically under a
common secure network
Article 78 of Regulation 883/2004 (data processing)
Article 4(2) and 88(4) of Implementing Regulation 987/2009 (IR)
– Ultimate aim: Better secure the social security rights of the mobile
citizen

32. Exchanges of information between institutions
DG Employment, Social Affairs and Equal Opportunities 32

33. National
network
National network EESSI
National
network
DG Employment, Social Affairs and Equal Opportunities 33

34. EESSI European network
Offer a secured routing
Update of Directory of institutions
10,000 to 15,000 institutions to be connected
through access points
More than 10 millions messages per year
Content of messages fully protected
SED SED
National level
Information adequate / citizen rights
Can be performed / automatic processing
Use national language
By domains of social protection

35. Access
Point

36. Planning Overview for EESSI
DEVELOPMENT & REVIEW
NATIONAL ADAPTATION AND TRAINING
EESSI SOFTWARE ARCHITECTURE
SEDs
DIRECTORY OF INSTITUTIONS

37. Public EESSI Directory Interface
http://ec.europa.eu/employment_social/social-security-directory/
DG Employment, Social Affairs and Equal Opportunities 37

38. SED (Structured electronic documents)
DG Employment, Social Affairs and Equal Opportunities 38

39. Planned activities on SEDs
• Finalisation of paper version of SEDs (translated forms)
• Finalisation of electronic version of SEDs
Identification of mandatory fields, length of fields etc
• Preparation of correlation tables and guidelines by
subgroups
• Documents available on the official website
DG Employment, Social Affairs and Equal Opportunities 39

40. Sector Number of SEDs
Applicable Legislation 7
Pensions 103
Sickness 31
Unemployment 28
Accidents at Work 63
Family 27
Recovery 13
Horizontal 15
DG Employment, Social Affairs and Equal Opportunities 40

41. Portable Documents
• Documents given to the customer to enable a right to be asserted,
or confirm a status, or provide information
• Presently this function served by the E – Forms
• 9 new Portable Documents have been designed
DG Employment, Social Affairs and Equal Opportunities 41

42. Sector Portable Doc(s)
Legislation Applicable A1
Sickness S1, S2, S3
Accidents at Work DA1
Unemployment U1, U2, U3
Pensions P1
DG Employment, Social Affairs and Equal Opportunities 42

43. Portable documents
A document for
individuals
– indicating which
legislation applies
in their case –
will be needed:
Source: European Commission, DG Employment, Social Affairs and Equal
Opportunities 43

44. Planning for EESSI
2009 2010 2011 2012
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
First European architecture – Version 1
Tests and adaptations Version 1+ New technical developments
National adaptations and connexion
Training and helpdesk activities
DG Employment, Social Affairs and Equal Opportunities 44

45. Transitional ESSII Period
Administrative Commission Decision E1
(includes)……
• Flexibility, cooperation and pragmatism
• Continued use of the E-forms
• Accept any valid document between institutions
• Phased adoption of EESSI
DG Employment, Social Affairs and Equal Opportunities 45

46. How to support the cooperation?
Tress Network and Reports
European Reports
Glossaries & database
New financial tool to support information
and cooperation between institutions
From January 2010
Support to initiatives / cooperation between institutions (exchanges,
conferences ...) & information on citizen’s rights
Subsidy up to 80% with transnational character
DG Employment, Social Affairs and Equal Opportunities 46

47. Recent developments in the Council
• Proposal for a Regulation extending the provisions
of Regulation 883/04 to nationals third country
nationals
• Association Council Decisions
47

48. Social security – international dimension
Application of full EEA
coordination rules Switz.
EU
approach Association agreements –
Morocco
Algeria
Turkey
San Marino
Tunisia
limited coordination Israel
Serbia
Croatia Albania
FYROM Bosnia-Herz
Member States 1/3d
National bilateral agreements
countries
Coordination of social security apply
(Regulation 859/2003 currently updated)

49. The Future
• International dimension of social security coordination
• Long-term care benefits
• Higlhy mobile workers & Follow-up Monti report
• Pensions (Green Paper)
• Miscellaneous amendments
49

50. Nice treaty Lisbon treaty
Article 42 EC for employed Article 48 TFEU provides for a legal basis to coordinate
persons and the members of not only for employed and self-employed persons (to be
their families and survivors on interpreted in a very wide sense), but also for their
the one hand dependants. This means that also the members of the
families and the survivors of "employed" and "self-
employed persons" are covered.
and Article 308 EC for the self- Article 352 TFEU (corresponding to the current Article 308
employed and students and the EC).
members of their families or
survivors on the other hand.
Unanimity Qualified majority : employed and self-employed persons,
the members of their families and retired persons
Unanimity : students and non-active persons
"break system": if a Member state is of the opinion that a
Commission proposal would affect fundamental aspects
of its social security system or would affect the financial
balance of that system, it may request that the matter be
referred to the European Council. The European Council
has then to decide within four months either to refer back
to the Council or to request the Commission to submit a
new proposal; in that case the act originally proposed
shall be deemed not to have been adopted.
DG Employment, Social Affairs and Equal Opportunities 50

51. New Website on Social Security
http://ec.europa.eu/social-security-coordination

52. Access to national information pages

53. Merci de votre attention